By KYIV. Nov 15 (Interfax-Ukraine) – Ukraine, together with the British government and 14 British insurance companies, has successfully created a special insurance mechanism for ships using the Ukrainian sea corridor, Prime Minister Denys Shmyhal said on Wednesday.
“The government has already allocated funds that will guarantee compensation for possible damage. The mechanism involves the Export Credit Agency, state-owned Ukrgasbank, Ukreximbank and a pool of 14 insurers,” the prime minister wrote on the Telegram channel, commenting on the decision of the Cabinet of Ministers made the day before.
First Deputy Prime Minister – Minister of Economy Yulia Svyrydenko clarified that ship insurance became possible thanks to cooperation with British companies in the field of reinsurance – Marsh McLennan and underwriters of Lloyd’s of London and the launch of the Unity Facility mechanism. The total coverage under this program is $50 million.
According to her, the new mechanism will reduce the cost of grain insurance by about 2.5 percentage points (p.p.) of the insurance tariff, which will give grain traders the opportunity to save about UAH 100-140 per ne of cargo.
In general, the introduction of a new insurance mechanism will bring an additional UAH 4 billion to agricultural producers, according to the Ministry of Economy.
